China's global imports soar, trade surplus with US narrows

Washington has already imposed a range of tariffs on Chinese-made goods, sparking fears of a tit-for-tat trade war between the world's top two economies as China also threatens to take trade action (AFP Photo/-)

China's global imports soared and exports remained strong in January, while its trade surplus with the United States narrowed after reaching record levels last year, official data showed Thursday.

Imports for the month surged 36.9 percent year-on-year, pointing to robust demand in the world's number two economy to start the year.

China's continued economic strength flies in the face of the authorities' campaign to limit credit growth and reduce winter pollution by cutting industrial production.

The wave of imports -- buoyed by rising commodity prices -- greatly surpassed analyst estimates of 10.6 percent growth for the period, according to Bloomberg News.

Analysts attributed part of the rise to the Chinese New Year holiday falling in February this year, as opposed to January last year.

The humming global economy continues to eat up China's products, giving its leaders more time to achieve their goal of transitioning the economy from one driven by exports and investment to a more stable model propelled by domestic consumption.

China's trade surplus with the US dropped from $25.6 billion in December to $21.9 billion in January. The figure is roughly equal to the trade surplus China posted with the US in the same period last year.

The falling surplus is good news for Beijing, which has been under attack by US President Donald Trump for months.

Still analysts worry the large deficit will compound sensitive trade relations between the two countries.